Behavioral Advertising | Privacy and Information Security Law Blog

FTC Settles with Alleged Stealth Behavioral Advertising Targeter

Posted on January 9, 2012 by Hunton & Williams LLP

On January 5, 2012, the Federal Trade Commission announced a proposed settlement with Upromise, Inc., a membership reward service that gives cash rebates for college savings accounts to members who purchase products and services from its partner merchants. The FTC alleged that the “Personalized Offers” feature on the Upromise TurboSaver Toolbar (1) collected far more information about users’ browsing behavior than was disclosed at the time of installation, and (2) contrary to representations in the company’s privacy notice, transmitted that information, which included data such as Social Security numbers and financial account numbers, in clear text.

Tags: Advertisement, Consent Order, Consumer Protection, Federal Trade Commission, Personally Identifiable Information, Social Security Number

UK ICO Releases Updated Cookie Compliance Guidance

Posted on December 29, 2011 by Hunton & Williams LLP

On December 13, 2011, the Information Commissioner issued updated guidance on compliance with recent changes to UK law governing the use of cookies (The Privacy and Electronic Communications (EC Directive) (Amendment) Regulations 2011 (“Regulations”)). Organizations were given a twelve-month grace period to comply with the new law. Initial guidance on the Regulations was released on May 9, 2011, but the Information Commissioner characterized that guidance as merely a “starting point for getting compliant rather than a definitive guide,” signaling that further advice would follow if appropriate. The release of the updated guidance coincides with the Information Commissioner’s interim report on organizations’ attempts to achieve compliance in which he concluded that organizations “must try harder” with their cookie compliance efforts.

Tags: Consumer Protection, Cookies, Information Commissioners Office, Opt-In Consent, United Kingdom

Article 29 Working Party Rejects Industry Self-Regulatory Code on Online Behavioral Advertising

Posted on December 16, 2011 by Hunton & Williams LLP

On December 8, 2011, the Article 29 Working Party (the “Working Party”) adopted an Opinion on the European Advertising Standards Alliance (“EASA”) and IAB Europe best practice recommendations for the online behavioral advertising (“OBA”) industry to comply with Article 5.3 of the revised e-Privacy Directive 2002/58/EC (the “cookie clause”). The cookie clause requires a user’s informed consent for the use of cookies and similar technologies that store and access information in the user’s terminal device. Finding practical ways of complying with the cookie clause has proven challenging for the OBA industry, which relies heavily on these kinds of tracking mechanisms.

Tags: Advertisement, Article 29 Working Party, Cookies, E-Privacy Directive, Opt-In Consent

Facebook Settles FTC Charges

Posted on November 29, 2011 by Hunton & Williams LLP

On November 29, 2011, the Federal Trade Commission announced that Facebook has settled charges that it deceived consumers by making false privacy promises. The settlement requires Facebook to (1) not misrepresent how it maintains the privacy or security of users’ personal information (2) obtain users’ “affirmative express consent” before sharing their information with any third party that “materially exceeds the restrictions imposed by a user’s privacy setting(s),” (3) implement procedures to prevent a third party from accessing users’ information no later than 30 days after the user has deleted such information or terminated his or her account, (4) establish, implement and maintain a comprehensive privacy program, and (5) obtain initial and biennial assessments and reports regarding its privacy practices for the next 20 years.

Tags: Consent Order, Consumer Protection, Electronic Privacy Information Center, Facebook, Federal Trade Commission, Jay Rockefeller, Jon Leibowitz, Social Media

Congressmen Markey and Barton Address Verizon’s Targeted Advertising Campaign

Posted on November 7, 2011 by Hunton & Williams LLP

On November 4, 2011, Congressmen Edward Markey (D-MA) and Joe Barton (R-TX) reiterated their privacy concerns over the handling of customer preferences in connection with Verizon’s new advertising initiative. After learning that Verizon had notified its customers of the implications of a targeted advertising campaign, on October 6, 2011, Reps. Markey and Barton, Co-Chairmen of the bipartisan Congressional Privacy Caucus, wrote a letter containing several inquiries to both Verizon and Verizon Wireless. In particular, Reps. Markey and Barton requested clarification regarding the companies’ potential disclosure of aggregated customer location information and website viewing history to third parties.

Tags: Advertisement, Congress, Consumer Protection, Edward Markey, Geolocation, Joe Barton, Opt-In Consent, Telecommunications, Verizon

FTC Proposes COPPA Rule Changes

Posted on September 19, 2011 by Hunton & Williams LLP

On September 15, 2011, the Federal Trade Commission released proposed amendments to the Children’s Online Privacy Protection Rule (“COPPA Rule” or “Rule”). These revisions follow the FTC’s review of the COPPA Rule, which resulted in numerous comments from various groups and individuals, as well as a public round table that took place on June 2, 2010. The proposed amendments reflect the FTC’s commitment to “helping to create a safer, more secure online experience for children” in the face of rapid technological change.
Continue reading…

Tags: Consumer Protection, COPPA, Federal Trade Commission, Geolocation, Safe Harbor, Social Media

Article 29 Working Party Meets with Europe’s Online Advertising Industry to Discuss Self-Regulatory Framework

Posted on September 16, 2011 by Hunton & Williams LLP

On September 14, 2011, the Article 29 Working Party (the “Working Party”) met with representatives of the European Advertising Standards Alliance (“EASA”) and IAB Europe, to discuss the industry’s new self-regulatory code of conduct for online behavioral advertising (the “Code”), which was released on April 14, 2011. Continue reading…

Tags: Advertisement, Article 29 Working Party, Cookies, E-Privacy Directive, Jacob Kohnstamm, Opt-In Consent

How the Supreme Court’s Decision in Sorrell v. IMS Health May Affect Forthcoming “Do Not Track” Legislation

Posted on September 9, 2011 by Hunton & Williams LLP

Following the U.S. Supreme Court’s ruling in Sorrell v. IMS Health, Thomas Julin, partner at Hunton & Williams LLP who represented IMS Health in the case, closely studied the Court’s decision to assess its implications, including with respect to other forthcoming legislation. In an interview with Marty Abrams, President of the Centre for Information Policy Leadership, during the Centre’s First Friday Call on September 9, 2011, Julin discussed the close parallels between the law invalidated in Sorrell v. IMS Health and proposed federal regulation of behavioral advertising such as the “Do-Not-Track Online Act of 2011,” which was introduced by Senator Jay Rockefeller (D-WV) in May 2011.

Listen to the full audio recording of Thomas Julin discussing his views on the implications of Sorrell v. IMS.

Read Julin’s article on this topic published by BNA’s Privacy and Security Law Report.

Tags: Consumer Protection, Do Not Track, Litigation, Marty Abrams, Supreme Court, Thomas Julin

Online Tracking Practices Face Increasing Scrutiny

Posted on September 9, 2011 by Hunton & Williams LLP

Over the past several weeks, online tracking practices involving the use of Flash cookies and ETags have been the subject of new research studies, class action lawsuits and significant media attention.

Tags: Advertisement, California, Class Action, Computer Fraud and Abuse Act, Cookies, Etags, Litigation, New York, Wiretap

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How the Supreme Court’s Decision in Sorrell v. IMS Health May Affect Forthcoming “Do Not Track” Legislation

Online Tracking Practices Face Increasing Scrutiny

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